Leonardo Spa · MIL:LDO
Leonardo Spa — Finmeccanica — 9M 2012 Earnings Presentation
19 slides from Leonardo Spa's earnings presentation, Nov 8, 2012
Slide 1: Q3 and 9M 2012 Results Presentation
Q3 and 9M 2012 Results Presentation Alessandro Pansa Chief Operating Officer Gian Piero Cutillo Chief Financial Officer Rome, 8 November 2012 1
Slide 2: Presentation Outline
Presentation Outline Group overview Financial review Summary Q&A Appendix 2
Slide 3: Group Overview: Finmeccanica is on track
Group Overview Finmeccanica is on track Solid Q3 results Strategic sectors continue to perform well Encouraged by operational progress in some of our challenging businesses Execution of the efficiency plan on track translates into steady improvement of profitability Some impact on orders from the ma
Slide 4: Strategic sectors continue to perform well
Group Overview Strategic sectors continue to perform well International Manage for Strategic Sectors Partnerships Value Defence Space, Energy, Helicopters Aeronautics Electronics and Defence Systems Transportation Security Proportion of 70% of total orders 17% of total orders 13% of total orders the
Slide 5: Group performance
Group Overview Group performance Q3 ACTUAL 9M ACTUAL Total Net Total Net € Mln 2012 2011 2012 2011 Change Change* Change Change* New Orders 2,974 3,072 -3% 10,652 10,638 0.1% 4% Backlog - - 44,706 44,811 -0.2% Revenues 4,124 3,828 8% 12,184 12,252 -0.6% 1.5% EBITA Adj. 280 -627 n.m. 154 741 -188 n.m
Slide 6: Helicopters
Financial Review Helicopters Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 1,053 922 2,976 2,750 ~4,000 EBITA 119 99 339 287 ~425 ROS% 11.3% 10.7% 11.4% 10.4% Orders down in Q3 mainly due to slippage of some governmental programmes; growing 13% 9M/9M Revenues up 14% in Q3 strong per
Slide 7: Aeronautics
Financial Review Aeronautics Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 681 569 2,002 1,866 2,700-2,800 EBITA 25 -809 74 -768 ~70 ROS% 3.7% n.a. 3.7% -41.2% Orders up 17% in Q3 due to military – 30 M346 sold to Israel - offsetting slight decrease in civil Revenues up 20% in Q3 dr
Slide 8: Defence Electronics and Security (pro-forma Unified SELEX)
Financial Review Defence Electronics and Security (pro-forma Unified SELEX) Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 771 800 2,442 2,620 3,550-3,650 EBITA 18 20 98 110 ~260 ROS% 2.3% 2.5% 4.0% 4.2% Lower revenue down 4% in Q3 Due to wind down activities in Civil and Defence C&C
Slide 9: Defence Electronics and Security – DRS
Financial Review Defence Electronics and Security – DRS Q3 ACTUAL 9M ACTUAL $ Mil 2012 2011 2012 2011 FY2012E Revenues 738 836 2,092 2,445 2,790-2,940 EBITA 98 98 179 221 ~295 ROS% 13.3% 11.7% 8.6% 9.0% Revenue decrease in line with expectations, down 12% in Q3 mainly due to wind down of activities
Slide 10: Space
Financial Review Space Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 235 219 697 699 ~1,000 EBITA 17 17 47 27 ~70 ROS% 7.2% 7.8% 6.7% 3.9% Strong Order increase in Q3 (from €143mln to €398mln) mainly due to earth Observation (OPSAT – 3000) and Commercial Telecommunications (Turkmens
Slide 11: Defence Systems
Financial Review Defence Systems Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 265 252 829 811 ~1,300 EBITA 35 16 89 65 ~140 ROS% 13.2% 6.3% 10.7% 8.0% Significantly higher profitability in Q3 related to industrial performance in Missiles, deliveries of an important export contract
Slide 12: Energy
Financial Review Energy Q3 ACTUAL 9M ACTUAL(*) € Mil 2012 2011 2012 2011 FY2012E Revenues 187 158 493 720 ~800 EBITA 16 12 36 54 ~70 ROS% 8.6% 7.6% 7.3% 7.5% (* ) Organic 9M2011 results would have been: Revenues €467mln and EBITA €35mln, adjusting for the deconsolidation of 45% of Ansaldo Energia fr
Slide 13: Ansaldo STS and AnsaldoBreda
Financial Review Ansaldo STS Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 305 272 874 842 1,200-1,300 EBIT 27 25 78 77 ROS% (EBIT/ Revenues) 8.9% 9.1% 8.9% 9.2% ~9.5% AnsaldoBreda Q3 ACTUAL 9M ACTUAL € Mil 2012 2011 2012 2011 FY2012E Revenues 138 138 496 470 650-750 EBITA -26 -41 -
Slide 14: Results overview & outlook
Summary Results overview & outlook FY earnings supported by improving profitability in core sectors Continued strength in revenues underpinned by robust backlog Challenges remain in some businesses Weaker market environment for new orders Focus on cash and an important fourth quarter ahead 14
Slide 15: Strategic update
Summary Strategic update Continued progress on the journey towards a new Finmeccanica Strong delivery on our operational efficiency agenda Significant progress towards a Unified Selex Top Management fully empowered Designed organizational structure Business plan presented to the Unions Unified budge
Slide 16: Presentation Outline
Presentation Outline Group overview Financial review Outlook & Summary Q&A Appendix 16
Slide 17: Balanced debt structure
Balanced debt structure The debt has an average life of approx.10 years, thanks to the strategy pursued over the last two - three years aimed at extending the duration of financing instruments The Group's financial robustness is supported by: ̶ Long average debt life, which is aligned to the Group's
Slide 18: Strong liquidity position
Strong liquidity position In order to cope with possible volatilities in financial needs, Finmeccanica can leverage: – Year end cash balance of €1.3Billion Availability of – Credit lines worth €3.0 Billion, fully available at December 31th 2011 to finance cash adequate absorptions deriving from work
Slide 19: Safe Harbor Statement
SAFE HARBOR STATEMENT NOTE: Some of the statements included in this document are not historical facts but rather statements of future expectations, also related to future economic and financial performance, to be considered forward- looking statements. These forward-looking statements are based on C